Costigan hits back

Frank Costigan QC says James Packer's comments about his 1984 royal commission at Kerry Packer's memorial service were ill-founded and born out of ignorance.

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TONY JONES: Former royal commissioner Frank Costigan QC has hit back at comments by James Packer that his father and the rest of the Packer family could never forgive him. Mr Costigan said James Packer's comments about his 1984 royal commission at last Friday's memorial service were "ill-founded and born out of ignorance." Mr Packer was never charged over allegations raised in the inquiry which were subsequently dismissed by the former federal attorney-general, Lionel Bowen. But as Stephen McDonell reports, the Packer family have never forgotten the effect the commission had on Kerry Packer.

STEPHEN McDONELL: In 1984, a royal commission run by Frank Costigan QC, identified a group of powerful people possibly involved in tax evasion, fraud, drug trafficking, pornography and murder. One of those people was given the secret alias the 'Goanna' by the National Times newspaper, which was leaked secret royal commission reports. Kerry Packer later identified himself as the person they were calling the Goanna.

BRIAN TOOHEY, FORMER EDITOR, THE NATIONAL TIMES: We were trying to protect his identity. Costigan had called him "the squirrel". He was referring actually to a group of people, the "squirrel analysis", or something like that. Now, Packer himself, when he was in a public hearing of the royal commission, had referred to himself as having a squirrel mentality. He was explaining why he was getting large amounts of cash - that he liked cash, he had a squirrel mentality. We thought,"Hang on that will identify him." "We'd better change it to some other animal." Someone at the last minute said, "Think of a name." And someone thought of the goanna.

STEPHEN McDONELL: The resulting furore led to what's been described as the worst period in Kerry Packer's life.

PHILLIP ADAMS, FORMER ASSOCIATE & FRIEND: A bloke who was already, in my view, damaged and a very miserable man. My view of Kerry is that he's one of the saddest people that I knew - was so overwhelmed by this that it pushed him very close to the edge. And, as I said, I was one of at least three or four people that I know of who used to sit with him and talk him out of suicide. He'd keep going on and on about how he wanted to kill himself.

STEPHEN McDONELL: At last Friday's state memorial service, the heir to the Packer empire said the family's wounds have still not healed.

JAMES PACKER, SON: When I said he didn't hold grudges, that's mostly true. The darkest chapter in his life was the so-called "Costigan affair". He never forgave Mr Costigan. He never could and nor could we. But the Costigan affair gave him an insight into the extent to which fellow Australians can be damaged by headlines which are little and often nothing to the truth.

STEPHEN McDONELL: Today, former royal commissioner, Frank Costigan, said James Packer's comments were "extravagant and highly inflammatory". His statement said: "Whilst I understand that the family of Mr Packer are very upset at this time, I reject the criticism which is ill-founded and borne out of ignorance. A royal commissioner does not make an allegation - far less does he initiate prosecutions. What he does is investigate and report to government on his investigations."

STEPHEN McDONELL: He added:

"A royal commissioner is charged with high office, to investigate without fear or favour, no matter how wealthy a person may be, or how influential he is."

STEPHEN McDONELL: But, according to James Packer, Frank Costigan taught his father it's not true that if you haven't done anything wrong, you have nothing to fear. Stephen McDonell, Lateline.